The Columbus Ledger-Enquirer reports that city council voted Tuesday to approve a settlement with Expedia.com and Hotels.com.
Rome is involved in a similar lawsuit.
After the city filed a lawsuit against the sites, they removed Columbus as a destination and diverted travelers to other nearby cities. The move was costly for local hotels.
Tuesday's settlement is only the latest instance of city officials settling with travel sites that tried skirting the hotel occupancy tax.
In 2010, Columbus settled with Orbitz.com for about $230,000, and with Priceline for about $72,000.
Tuesday's vote ended litigation that that began in 2006. The city will receive about $586,000 after attorney fees are deducted.